Free BRRRR Calculator

Cash Returned at Refi · DSCR · Monthly Cash Flow · FULL RECYCLE / PARTIAL / NO-GO Verdict

Enter your purchase price, rehab cost, ARV, and refinance terms. The calculator shows how much cash you get back at refinance, whether the deal cash-flows after the new mortgage, and a verdict — no signup, no download, no waiting.

BRRRR Method Calculator

Results update as you type — assumes all-cash purchase, then refi

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yr

Total Cash Invested
$--
Purchase + closing + rehab
Refi Loan Amount
$--
ARV × LTV
Cash Returned at Refi
$--
Refi loan − total invested
Equity Captured
$--
ARV − refi loan balance
Monthly Cash Flow
$--
After mortgage & expenses
DSCR
--×
GO ≥1.20   MARGINAL 1.00–1.19
Verdict --
Monthly P&I
$--

Models all-cash purchase followed by a standard DSCR cash-out refinance. Does not include hard money loan costs at acquisition. This calculator covers the core BRRRR math; full 5-year pro forma, IRR, and sensitivity tables are in the BRRRR Calculator Pro spreadsheet.

Reading Your Results

A successful BRRRR deal requires two things to be true at the same time: you get your capital back, and the property cash-flows after the new mortgage. The verdict reflects both:

VerdictCash ReturnedDSCRMeaning
FULL RECYCLE≥ $0≥ 1.20Capital fully returned, property cash-flows. Repeat immediately.
PARTIAL RECYCLE< $0≥ 1.20Some capital tied up, but property covers its mortgage. Still a viable hold.
NO-GOEither< 1.20Property does not cover its mortgage. Most DSCR lenders will not fund.

The 75% LTV rule: Most conventional lenders cap investment property cash-out refinances at 75% LTV. Your ARV appraisal must support the loan. A strong BRRRR forces equity at the purchase stage (buying below ARV) — that equity is what makes the 75% LTV recycle the full stack.

Three Worked Examples

All examples assume an all-cash purchase — the simplest BRRRR model. Real deals typically use hard money (10–12% APR + 1–3 origination points), which adds $4,000–$8,000 in carry costs and reduces the cash-returned figure accordingly. Add HML carry to your "Closing Costs %" field to model the real cost.

Example 1 — Full Recycle: Textbook BRRRR

Purchase $85,000 · 2% closing · $30,000 rehab · ARV $165,000 · Rent $1,450 · Expenses $375 · 75% LTV · 7.0% · 30-year

Example 2 — Partial Recycle: Less Equity at Purchase

Purchase $130,000 · 2% closing · $20,000 rehab · ARV $165,000 · same rent and refi terms

Example 3 — No-Go: Overpaid, Tight Market

Purchase $170,000 · 2% closing · $10,000 rehab · ARV $180,000 · Rent $1,350 · Expenses $500 · 75% LTV · 8.0% · 30-year

What This Calculator Does Not Cover

This calculator handles the core BRRRR pass/fail math. What it does not model:

Go Deeper: BRRRR Calculator Pro

8-tab spreadsheet covering the full BRRRR stack — hard money carry costs, 5-year pro forma, IRR, sensitivity tables, and a lender-grade deal summary page. Built for serious buy-and-hold investors underwriting real deals.

BRRRR Calculator Pro — $29 Deal Analyzer Pro — $29

Frequently Asked Questions

What is a good DSCR for a BRRRR refinance?

Most lenders offering DSCR refinances on investment properties require a minimum of 1.20 — meaning the property's annual net operating income must be at least 20% more than the annual debt service on the new loan. Some portfolio lenders accept 1.10 on strong markets, but 1.20 is the standard underwriting threshold. A BRRRR deal that cash-flows at 1.20+ DSCR after refinance is considered a clean execution.

What does "full recycle" mean in BRRRR?

A full recycle means the refinance loan amount is larger than your total cash invested (purchase price + closing costs + rehab). At closing, the lender pays off any existing loan on the property and you receive the difference as cash — returning 100% of your initial capital to deploy on the next deal. The ideal BRRRR outcome is a full recycle where you also have positive monthly cash flow after the new mortgage.

What LTV can I expect on a BRRRR cash-out refinance?

Most conventional lenders cap investment property cash-out refinances at 70–75% LTV based on the appraised ARV. Some portfolio and DSCR lenders will go to 80% on strong cash-flowing properties. Using 75% is a conservative underwriting assumption that most markets support. Going above 75% LTV on an investment property typically requires a non-QM or portfolio lender at a higher rate.

What should I include in monthly operating expenses?

Monthly operating expenses before the mortgage should include: property taxes (divide annual tax by 12), landlord insurance, maintenance and repairs (budget 1% of ARV per year, or roughly $125/month per $150K of value), property management if applicable (8–10% of rent), and a vacancy reserve (5% of rent). Do not include your mortgage payment — that is debt service, not an operating expense.

Related Reading

Disclaimer: This calculator is provided for educational and informational purposes only. It does not constitute financial, investment, tax, or legal advice. Real estate investing involves substantial risk, including the potential loss of principal. Actual returns depend on property condition, market conditions, lender terms, and many other factors not modeled here. Consult a qualified financial advisor, CPA, and real estate attorney before making investment decisions.